So for more fundraising options we sell our Gift Cards to Chairities so that they can Re-sell them and hold the profit.
My question is, for those of you that do this already, how much do you sell your gift cards for and how much do you suggest to the charity to resell them for?
Example, you sell a $20 Gift card to a Charity for $14, and they resell for $20 netting them $6 a piece.
Part of the consideration has to be how much value is there in the new clients that the gift card sales bring to you…I have had clients tell me they give 25% to 50% to the selling group…You can afford give more if you gain some new names in your POS data base…If your group is selling 20.00 cards for 20.00 you should get a higher calibre of client than a Groupon type client…
Standard donation nights in our area are 15%. I sell gift cards at the same discount…Hope this helps.
We really have no say as to what they sell them for so that’s why we only discount them so much. Like you said, we don’t want a 50percent off client ie Groupon.
We do 15percent as well for charity when they eat in… Never thought about it it like that for the gift cards as well. Do you sell them to the charity 10 or 20 cards at a time… Or do you give them a few then wait till they come back in to pay you for how much they sold?
Yes. Our local Catholic school doesn’t like to have a specific “school night” so instead they buy gift cards in bulk at a 15% discount. Usually $800-$1000 at a time a few times a year. Great deal for us! And them.
We’ve done this for the last 3 years with our local Swim Team…they sell the cards, drop me off a check when they pick up the cards and make 15% for their team. One of the nice side benefits is a lot of the cards are sold to out of area Grandmas and Grandpas I think b/c our redemption rate runs around 68%. The first year we sold close to $5000 as I recall, went better last year and we’re still in the midst of the program this season so time will tell.